Learning Objectives

By the end of this session, students are expected to be able to:

Create simple formulas in Microsoft Excel

Create complex formulas in Microsoft Excel

Use functions in Microsoft Excel

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INSERTING NEW WORKSHEET, RENAME, INSERT & DELETE ROWS & COLUMNS

Formulas

In school, you learned formulas used to calculate math problems.

Microsoft Excel uses these same formulas to perform calculations in a spreadsheet.

A formula can be a combination of values (numbers or cell references) and math operators (+, -, /, *, =) into an algebraic expression.

Excel requires every formula to begin with an equal sign (=).

The following table illustrates the mathematical operators learned in school.

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The formula is visible only in the formula bar.

A formula’s result will change as different numbers are entered into the cells included in the formula’s definition.

School

Excel 2003

Addition

+

Subtraction

Multiplication

X

*

Division

/

Equals

=

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Creating a Simple Addition Formula

A simple formula in Excel contains one mathematical operation only

one number plus a second number equals a third number.

Writing a simple formula is very easy: 1+1.

The only difference in Excel is that all formulas must begin with the equal sign (=).

It is not enough to type 1+1 in Excel because what will appear in the cell is “1+1.” You must begin the equation with an equal sign, or =1+1.

This holds true for any formula, simple or complicated, that adds, subtracts, multiplies or divides.

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Let’s add two numbers to create a third, 128+345=473.

In Excel, this would be expressed by the formula, =128+345, as shown below

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To Create a Simple Formula that add two Numbers

Click the cell where the formula will be defined.

Type the equal sign (=) to let Excel know a formula is being defined.

Type the first number to be added (128, for example)

Type the addition sign (+) to let Excel know that an add operation is to be performed.

Type the second number to be added (345, for example)

Press Enter or click the Enter button on the Formula bar to complete the formula.

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Creating a formula which adds two Cells

Excel 2003 enables include cell references in formulas.

A formula can add the value of two cells-B2 and B3, for example.

Type any two values in these two cells and the formula will adjust the answer accordingly.

Using this method to calculate two numbers-128 and 345, for example-requires that you type 128 in cell B2, for example, and 345 in cell B3.

The Excel formula, =B2+B3, would then be defined in cell B4

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To Create a Simple Formula that Adds the Contents of Two Cells

Type the numbers you want to calculate in separate cells (for example, type 128 in cell B2 and 345 in cell B3).

Click the cell where the answer will appear (B4, for example).

Type the equal sign (=) to let Excel know a formula is being defined.

Type the cell number that contains the first number to be added (B2, for example).

Type the addition sign (+) to let Excel know that an add operation is to be performed.

Type the cell number that contains the first number to be added (B3, for example.

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Press Enter or click the Enter button on the Formula bar to complete the formula.

Formulas can be created by using either numbers or cell references in the definition.

You can also use the mouse to select the cells to be used in the formula instead of typing the cell number or cell reference.

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Creating a Simple Substraction Formula Using the Point and Click Method

Type the numbers you want to calculate in separate cells (for example, type 128 in cell B2 and 345 in cell B3).

Click the cell where the answer will appear (B4, for example).

Type the equal sign (=) to let Excel know a formula is being defined.

Click on the first cell to be included in the formula (B3, for example).

Type the subtraction sign (-) to let Excel know that a subtraction operation is to be performed.

Click on the next cell in the formula (B2, for example).

If you include multiple cells in the formula, repeat steps 4 and 5 until the entire formula is entered.

Press Enter or click the Enter button on the Formula bar to complete the formula.

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Creating Simple Multiplication Formulas

Creating multiplication formulas is very similar to addition and subtraction formulas.

To multiply two cells the formula, B2 and B3, you would need to insert a multiplication operator * between them, =B2*B3

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To Create Simple Formula that Multiplies the Contents of Two Cells

Type the numbers you want to calculate in separate cells (for example, type 128 in cell B2 and 345 in cell B3).

Click the cell where the answer will appear (B4, for example).

Type the equal sign (=)

Click on the first cell to be included in the formula (B2, for example).

Type a mathematical operator (Example: the multiplication symbol *). The operator displays in the cell and Formula bar.

Click on the next cell in the formula (B3, for example).

If you include multiple cells in the formula, repeat steps 4 and 5 until the entire formula is entered.

Press Enter or click the Enter button on the Formula bar to complete the formula

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Creating Simple Division Formulas

Creating division formulas is very similar to the addition, subtraction and multiplication formulas.

To divide the contents of cell B2 by cell B3, you would need to insert a division operator / between them, =B2/B3.

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To Create Simple Formula that Divides One Cell by Another

Type the numbers you want to calculate in separate cells (for example, type 128 in cell B2 and 345 in cell B3).

Click the cell where the answer will appear (B4, for example).

Type the equal sign (=) to let Excel know a formula is being defined.

Click on the first cell to be included in the formula (B2, for example).

Type a mathematical operator (Example: the division symbol /).

The operator displays in the cell and Formula bar.

Click on the next cell in the formula (B3, for example).

If you include multiple cells in the formula, repeat steps 4 and 5 until the entire formula is entered.

Very Important: Press Enter or click the Enter button on the Formula bar. This step ends the formula.

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Complex Formulas Defined

Simple formulas have one mathematical operation.

Complex formulas: Involve more than one mathematical operation.

The order of mathematical operations is very important.

If you enter a formula that contains several operations–like adding, subtracting and dividing–Excel 2003 knows to work those operations in a specific order.

The order of operations is

Operations enclosed in parenthesis

Exponential calculations (to the power of)

Multiplication and division, whichever comes first

Addition and subtraction, whichever comes first

Using this order, let us see how the formula 120/ (8-5)*4-2 is calculated in the following picture.

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Creating Complex Formulas in Excel

Excel 2003 automatically follows a standard order of operations in a complex formula.

If you want a certain portion of the formula to be calculated first, put it in parentheses.

If we wanted to add the contents of cell B2 and cell B3, for example, and then take that answer and multiply it by the data in cell A4, then we would need to define the following formula: =(B2+B3)*A4.

Enter the numbers you want to calculate.

Click the cell where you want the formula result to appear.

Type the equal sign (=) to let Excel know a formula is being defined.

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Type an open parenthesis, or (

Click on the first cell to be included in the formula (cell B2, for example).

Type the addition sign (+) to let Excel know that an add operation is to be performed.

Click on the second cell in the formula. The reference B3 displays where you want your result.

End the B2+B3 operation by adding the close parenthesis, or )

Type the next mathematical operator, or the multiplication symbol (*) to let Excel know that an multiply operation is to be performed.

Click on the third cell to be included in the formula, cell A4.

Very Important: Press Enter or click the Enter button on the Formula bar.

This step ends the formula.

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Filling Formulas to other Cells

Sometimes you will write a formula that gets used a lot in different places of a worksheet.

For example, a spreadsheet may contain several columns of numbers.

Each column will contain a formula that adds all the numbers in it.

You could write the formula several times, once in each column.

Or you could copy-and-paste it into each column.

The ‘fill formula’ method allows you to copy a formula and fill it into many different consecutive cells at the same time.

The mouse pointer changes to a black crosshair when passed over the fill handle, or the square box in the lower right corner of the cell.

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Using the Fill Handle to Copy a Formula to a Surrounding Cell

Click on the cell that contains the formula to be copied.

Position the mouse pointer over the fill handle.

Click and hold the left mouse button, and then drag the contents to the cell that’s to receive the fill formula.

Release the mouse button.

Select the Copy Cells option in the fill formula drop-down menu.

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Copy and Paste a Formula

You can also use copy and paste to copy a formula to other cells.

The process to copy and paste a formula is identical to that process used to copy and paste text.

To Copy and Paste a Formula

Select the cell that contains the formula to be copied.

Click the Copy button.

Marching ‘ants’ appear around the copied cell(s)

Select the cell where the copied formula is to be pasted, and press the Enter key.

The cell references in a formula are automatically updated when the formula is copied to other cells in a worksheet.

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Revising Formulas

You can revise any formula that was previously written in a worksheet.

To revise a formula using the keyboard

Double-click the cell that contains the formula you want to revise.

The cursor can now move left and right between the values in the formula in cell B5.

Make the necessary changes to the formula.

Press the Enter key or click the Enter button to accept the new formula.

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Creating an Absolute Reference

Sometimes, when you copy and paste a formula, you don’t want one or more cell references to change.

Absolute reference solves this problem.

Absolute cell references in a formula always refer to the same cell or cell range in a formula.

If a formula is copied to a different location, the absolute reference remains the same.

An absolute reference is designated in the formula by the addition of a dollar sign ($).

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It can precede the column reference or the row reference, or both.

Examples of absolute referencing include

$A$2: The column and the row do not change when copied.

A$2: The row does not change when copied but column change

$A2: The column does not change when copied but row change.

To create an absolute reference

Enter the numbers you want to calculate (e.g., 34,567 in cell B2 and 1,234 in cell B3).

Then, create a simple formula (=B2+B3).

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To create an absolute reference in the formula just created

Insert a $ value before the B (column reference) and 2 (row reference) in the reference to B2 so the new formula reads: =($B$2+B3)

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Copy and Paste the formula to another adjacent cell.

The formula now includes an absolute reference to B2, (=$B$2+D3).

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A function: Is a pre-defined formula that performs common mathematical functions.

Functions save you the time of writing lengthy formulas.

You could use an Excel function called Average, for example, to quickly find the average of range of numbers.

Or you could use the Sum function to find the sum of a cell range.

Excel 2003 contains many different functions.

Each function has a specific order, called ‘Syntax’, which must be strictly followed for the function to work correctly.

Syntax order

All functions begin with the = sign.

After the = sign define the function name (e.g., Sum).

Arguments: numbers, text or cell references-enclosed by parentheses.

If there is more than one argument, separate each by a comma.

An example of a function with one argument that adds a range of cells, B3 through B10 is shown below in Figure 16.

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An Example of a function with more than one argument that calculates Average of numbers in a range of cells. B3 through B10 and C3 through C10 as shown in the fig below.

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Excel literally has hundreds of different Functions to assist with your calculations.

Building formulas can be difficult and time-consuming.

Excel’s functions can save you a lot of time and headaches.

Excel’s Different Functions

There are many different functions in Excel 2003.

Some of the more common functions include

Statistical functions

SUM – summation adds a range of cells together.

AVERAGE – average calculates the average of a range of cells.

COUNT – counts the number of chosen data in a range of cells.

MAX – identifies the largest number in a range of cells.

MIN – identifies the smallest number in a range of cells

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Financial functions

Interest rates

Loan payments

Depreciation amounts

Date and time functions

DATE – Converts a serial number to a day of the month to day of a week

DAYS 360 – Calculates the number of days between two dates based on a 360-day year

TIME – Returns the serial number of a particular time

HOUR – Converts a serial number to an hour

MINUTE – Converts a serial number to a minute

TODAY – Returns the serial number of today’s date

MONTH – Converts a serial number to a month

YEAR – Converts a serial number to a year

You don’t have to memorize the functions but should have an idea of what each can do for you.

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Finding the Sum of a Range of Data

AutoSum function allows you to create a formula that includes a cell range-many cells in a column or many cells in a row.

Calculating the AutoSum of a Range of Data

Type the numbers to be included in the formula in separate cells of column B (Ex: type 128 in cell B2, 345 in cell B3, 243 in cell B4, 97 in cell B5 and 187 cell B6).

Click on the first cell (B2) to be included in the formula.

Using the point-click-drag method, drag the mouse to define a cell range from cell B2 through cell B6.

On the Standard toolbar, click the Sum button.

The sum of the numbers is added to cell B7, or the cell immediately beneath the defined.

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Finding the Average of a Range of Numbers

The Average function calculates the average of a range of numbers.

The Average function can be selected from the AutoSum drop-down menu.

To calculate the average of a range of data

Type the numbers to be included in the formula in separate cells of column B (E.g: type 128 in cell B2, 345 in cell B3, 243 in cell B4, 97 in cell B5 and 187 cell B6).

Click on the first cell (B2) to be included in the formula.

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Using the point-click-drag method, drag the mouse to define a cell range from cell B2 through cell B6.

On the Standard toolbar, click on the drop-down part of the AutoSum button.

Select the Average function from the drop-down Functions list.

The average of the numbers is added to cell B7, or the cell immediately beneath the

defined range of numbers.

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To Access Other Functions in Excel

Using the point-click-drag method, select a cell range to be included in the formula.

On the Standard toolbar, click on the drop-down part of the AutoSum button.

If you don’t see the function you want to use (Sum, Average, Count, Max, Min), display additional functions by selecting More Functions.

The ‘Insert Function’ dialog box opens.

There are three ways to locate a function in the ‘Insert Function’ dialog box.

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You can type a question in the ‘Search for a function’ box and click GO,

OR

You can scroll through the alphabetical list of functions in the Select a function field

OR

You can select a function category in the Select a category drop-down list and review the corresponding function names in the Select a function field.

Select the function you want to use

Click the OK button.

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Arrangement

Example

Add a range

=SUM(range)

=SUM(A1:A8)

Average a range

=AVERAGE(range)

=AVERAGE(A1:A8)

Pulls out the highest number

=MAX(range)

=MAX(A1:A8)

Pulls out the lowest number

=MIN(range)

=MIN(A1:A8)

Counts non-blank cells

=COUNTA(range)

=COUNTA(A1:A8)

Inserts current date

=NOW()

Calculate a value conditionally

=IF(Condition,True,False)

=IF(C2<65,”No”,”Yes”

)

Calculate payment on a loan

=PMT(Interest, Time,

Principle)

=PMT(6%/12,60,5000)

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Commonly Used Functions